Hard times for textile

Pakistan is the world’s fourth largest cotton producer, but it is far behind Bangladesh on the list of textile-exporting countries. It should be noted that Bangladesh doesn’t produce cotton. However, it still earned $8.041billion through textile export in the previous fiscal year. On the other, Pakistan was only able to earn $1.365billion – only 17 percent of Bangladesh’s export. China, Bangladesh, India, Vietnam and Pakistan collectively exported $46.5bn to the EU. Pakistan’s share was only 2.8 percent. This reflects the poor performance of the country’s textile sector. Last year, the prime minister took the notice of decline of $377 million in the textile sector. The PM announced an incentive package of Rs180 billion. However, this year’s performance was also unsatisfactory. This calls for an in-depth analysis to ascertain the reason for the decline in exports. The fact that Bangladesh is ahead of Pakistan should be an eye-opener for textile manufacturers. If the current situation does not improve, the country may lose the benefits of GSP plus.

According to some media reports, industries are exempted from loadshedding. The Ministry of Commerce should take serious notice of this issue and determine the reasons for the huge decline. The country must develop a focused approach to boost textile exports as they significantly contribute to the country’s GDP. The grey areas, if any, must be addressed to further enhance exports. All shareholders must put in their best to boost textile exports for the economic survival of Pakistan.

Engr Riaz Akbar

Wah Cantt